CHAPTER 11b
BALANCE OF
PAYMENT
1
,2
Topic Learning
Outcomes
At the end of this topic, student should be
able to:
1.To explain BOP account
2.To discuss the effect of the BOP deficit
3.To discuss how to correct the BOP deficit
,BALANCE OF
PAYMENT
, 4
Introduction
When countries trade money flows into and out of
each country
There is higher degree of openness - structure of
production and employment, and economic growth,
are more likely to be affected by external events
The balance of payments provides and indication of
how international trade and external events feed
back into the economy
BALANCE OF
PAYMENT
1
,2
Topic Learning
Outcomes
At the end of this topic, student should be
able to:
1.To explain BOP account
2.To discuss the effect of the BOP deficit
3.To discuss how to correct the BOP deficit
,BALANCE OF
PAYMENT
, 4
Introduction
When countries trade money flows into and out of
each country
There is higher degree of openness - structure of
production and employment, and economic growth,
are more likely to be affected by external events
The balance of payments provides and indication of
how international trade and external events feed
back into the economy
